Gold Prices Stay Firm as Global Tensions Ease Slightly and Fed Rate Cut Hopes Continue to Support Demand

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Gold rates today moved up slightly as prices stayed close to record highs. The rise came at a time when investors remained careful about global events. Gold continued to attract buyers looking for stability. The overall mood in the market stayed calm but supportive.

Gold rates today on the Multi Commodity Exchange increased by around 0.25 percent to Rs. 1,40,228 per 10 grams on Monday, December 29. Prices climbed sharply in early trade before settling near recent highs. During the session, gold touched an intraday high of Rs. 1,40,444 per 10 grams. The price remained just below the record peak seen last Friday. This movement showed strong interest in domestic markets even as global prices cooled slightly.

MCX Gold Holds Near Record Highs


MCX gold prices stayed firm despite weakness in overseas markets. In the international market, spot gold slipped after hitting fresh record levels last week. Traders booked profits as the year-end approached. Lower trading volumes due to holidays also caused sharper price movements. Still, global gold prices remained high, which helped support Indian rates.

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Safe-haven demand continued to support gold rates today. Investors were leaning towards gold as a safe investment amidst the uncertainty that the world continues to face. The situations of trade disputes and international conflicts were still the main issues. 

The latest statements regarding the conflict in Ukraine, possibly moving towards a peaceful solution, helped to relieve some pressure, but worries did not disappear entirely. As a result, gold stayed attractive as a store of value.

Global Uncertainty Supports Demand


Interest rate expectations also played a key role. Hopes of more Fed rate cuts in 2026 increased demand for gold. Lower interest rates reduce the appeal of fixed-income assets and make gold more attractive. This trend has supported gold throughout 2025. Central bank buying slowed compared to previous years, but demand remained steady. Many institutions continued to add gold for diversification and currency protection.

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Currency trends added further strength to MCX gold prices. Movement in the rupee against the dollar pushed domestic prices higher. De dollarisation efforts by several countries also supported long-term demand for gold. These factors helped keep gold rates today stable, even when global prices showed small declines.

Technical Outlook Remains Positive


Experts also pointed to lower market liquidity during year-end holidays. Thin trading conditions increased price swings. Even so, strong inflows into precious metals continued. Analysts believe the same drivers could remain active in 2026, keeping gold prices supported.

Technical indicators suggested that gold remained in a strong uptrend. MCX gold prices traded near all-time highs with solid support levels. A clear move above Rs. 1,40,500 could push prices higher in the coming months. Support stayed strong near Rs. 1,38,000, which limited downside risks.

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Overall, the gold rates today showed steady confidence. The outlook was still influenced by safe-haven demand, global uncertainties, and Fed rate cut expectations. The long-term factors being unchanged, the positive trend stayed.